American Tower Corp (NYSE:AMT)

As telco users increase so does the service providers. Irrespective who the telco are, AMT is sure to lead and be the #1 runner

American Towers is in a position to profit for years to come. The growing data market that has been constantly expanding over the years, and there's no end in sight. The major players in the wireless communications sector are struggling to keep up. American Towers will be there to reap the benefits of all of their struggles. The market will continue to grow and so will AMT.

Paradigm shift towards mobile data consumption is still in its early stages. AMT is best-positioned among its peers in the international market, where much of the growth in this area is yet to come. Best-of-breed financials, high cash flow visibility, and has a growing market opportunity.

"They are the largest owners of mobile antenna locations in the world and is expanding rapidly and are about to buy 2000 antenna locations in Germany. The can be considered a land-holding, however, they have a high profit margin of 22%.

It is not a cheap stock, their market value relative to their turnover is 11 times. Many would argue that the stock is too pricey.

The trick is that mobile data traffic will only increase going forward and there is only one way it will be distributed and it is through good antenna locations, and most probably more of them. So no matter which mobile operator, regardless of the frequencies and whatever antenna technology, they have to bee situated at good antenna locations. Satellite data communications aren't realistic alternative due to the technology needs to be replaced often, which is not economically passable in space and probably will not be for a very long time to come.

AMT is making their business by buying areas around a suitable antenna locations and put up masts. Several mobile companies then lease the antennas and set up their equipment on the ground. They can then make contracts with as many mobile companies as there is space for on the ground.

The higher share that AMT holds of the most interesting locations, the more interesting they are to the major mobile companies. It will be an easier way for mobile operators to place their antennas in attractive locations. The more attractive they are through their locations, the higher they can set the price and thus the return of their investment increase.

The growth potential of AMT's pretty unlimited for now and the Property Plant and Equipment on their balance sheet is also increased by approx. $ 1 billion a year and is now at $ 6 billion. Their total assets increased by about $ 2 billion a year and is now at 14 billions dollars, although they are heavily mortgaged. I think, however, that you can apologize the mortgaging by realizing that it's all about growth and to achieve an absolute dominant market position.

If they continue their current growth linearly, they will have doubled their assets in 6-7 years. Their share has also experienced a fairly linear growth of approximately 800% over 10 years and the trend might continue to some degree.

So I think that AMT is a stock you should buy for the sake of the great potential for growth and their already strong position. But most of all because they get to dominate a valuable resource, namely good antenna locations, which will become ever more important."

more 2013 round picks:
underperform shorts on tickers:
amt, ibm

outperform buys on tickers:
aa, appl

More cell phones, more cell phone, then you need more towers.

with all the digital transmission on a high growth this stock is a prime candidate for a big up-swing.

more smartphones, tablets, etc equals more data equals increased demand for this companies services for the foreseeable future. no matter which smartphone "wins" AMT wins

Been slowly moving for some time

AMT invests in the infrastructure undergirding cell phones...as smart phones takes us all over...the need for capacity will keep expanding.

Increased worldwide useage of mobile devices will now create need for radio infrastructures on numerous sites.

The increase in smart phone increase the need for more bandwidth --- hence more tower usage.

Worldwide, cell use is expanding at a tremendous rate. The data has to be transferred via wireless towers, especially in the emerging market countries, though this significant in the developed world, as well.

fool

Continues to move upward. Great long term company.

New found love. Ready to hopefully hold it long and continue to strengthen my position. I'm very optimistic about this one.

Obvious broadband trends.

Mobile phones and mobile computing are not going anywhere anytime soon. This market is going to continue to expand for at least the next 10-20 years.

I cannot see how this can suffer.